When building owners and property managers plan the financial future of their facilities, the quantitative tool most often chosen is the Capital Needs Assessment (CNA).

A CNA creates a capital forecast of needed reserves to fund depreciating asset replacement and prioritize discovered deficiencies while providing a comprehensive document to justify lending requests. CNAs are often used to mitigate the risk of unanticipated or unrecognized potential failure of key building systems.

Communication is Key

The challenge of a successful CNA is its need to meet the specific requirements of both the building owner and potential lending institutions. Criterium Engineers has met that challenge for its clients for over 60 years with in-depth local and nationwide knowledge of building science and reliable capital budgeting expertise. Communication is the key. The clarity and depth of our written and verbal reporting are responsible for the long-term relationships we have established with our clients over the years.

Tailored to Each Client

Since all facilities are different and client needs vary, a CNA report is unique for each project. While a detailed discussion of the current physical condition of all major building and site improvement assets is common in all reports, the presentation of the financial analysis and recommendations is often driven by the specific needs of the client or lender.

Typical CNA planning schedules include a 20-year timeline. However, requested forecasts can range from 5 to 30 years. Property types including commercial, multi-family, or industrial will often dictate the report’s focus on asset inventory elements with consideration of like-for-like renewal vs. upgrade renewal.

Many commercial, federal, state, and local lending agencies have their own preferred spreadsheet or tabular templates needing to be considered. Criterium Engineers’ breadth of experience will ensure our evaluations are on target the first time.

Scope of the Assessment

Following authorization to proceed, our engineering team will review steps of the study to confirm your goals and coordinate data collection, field visits, and schedule report submission.

Our report’s narrative will consider the standard estimated useful life of various building elements while supplementing these standards with the actual observed conditions. Photographs of significant issues will be included as well as graphics and charts necessary to illustrate important points and summarize the capital expenditure (capex) estimate.

The report narrative will list assumptions including expected inflationary factors and methodology of the financial analysis.

Beyond the CNA

Typically, a CNA’s focus is on financial forecasting. However, the scope of work could be expanded to include consideration of nearly any special facility issue or client requirement.

Issues and tasks not typically considered or performed in a CNA, but which Criterium can address as optional, additional engineering services include: structural and environmental assessments, energy audits, building code or other regulatory compliance, ADA or Fair Housing accessibility compliance, invasive observations, material sampling and testing, construction quality assurance and building commissioning.

Criterium Engineers’ work is performed by, or under the direct supervision of, experienced Professional Engineers (PEs). The in-house staff of the 35 Criterium offices located across North America includes PEs licensed in nearly every state and province.

Criterium Engineers’ commercial building pre-purchase inspections guide our clients through the due diligence process. The inspections and the resulting reports, performed by licensed, Professional Engineers, inform the prospective buyer regarding important aspects of the property and may also assist in negotiating a purchase price, depending on what is found. All of Criterium’s reports conform to widely recognized national standards such as the American Society for Testing and Materials (ASTM), and Standard and Poor’s. Every year, we assist prospective buyers in support of thousands of real estate transactions all across the country.

Our three inspection options are described in order of complexity:

Commercial Building Inspection (CBI) $

• A thorough, on-site visual inspection encompassing a property’s overall condition, focusing on all key building components and site improvements (structure, weather envelope, heating, ventilation, electrical, plumbing, storm drainage, paving and more), life safety issues and common environmental factors.
• A written report and captioned photographs detail our findings, highlighting building assets and strengths, as well as any deficiencies, potential problems we observe.
• The building’s current condition is clearly explained, so our clients can make confident, informed decisions about their purchase.

Enhanced Building Inspection (EBI) $$

• The same general scope as a CBI (outlined above) and a similar report.
• Includes review of available property documentation and interviews with available knowledgeable persons.
• Identifies needed short-term and long-term major repairs and replacements and a projection of associated capital budgets over a 10-year planning period. This helps prospective buyers anticipate cash flow requirements.

Property Condition Assessment (PCA) $$$

• Our most comprehensive inspection. Often required by lenders.
• Encompasses all work described above for a CBI and EBI, and provides more information and greater value.
• May serve as the starting point for more involved investigations to satisfy any special client-requested due diligence requirements, if needed.
• Includes research into known compliance and safety issues, including inquiries with municipal or county officials, or other controlling jurisdictions.
• More detailed engineer’s observations and findings for each component and system, and identifies deferred maintenance and significant deficiencies requiring further capital investment.
• A Property Profile summary table is included to easily reference key information.
• A Repair/Replacement Cost Table is included with three categories: Immediate for critical corrective actions; Short-Term for recommended year one work; and Long-Term for anticipated major expenditures. The length of the study period and level of detail is determined based on our client’s business needs.
• The third-party detailed information in a PCA provides a prospective buyer with an objective tool to advise sellers of property deficiencies and may assist in re-negotiation of purchase price.

Download our “Commercial Building Inspections: Three Options” sales sheet

Finding the Leak

Like the bumper sticker says, Leaks Happen. Eventually all roofs will leak. The various available condo roof surfaces typically have different reserve fund plan expected useful lives. High slope roofs such as fiberglass composite shingles are budgeted to be replaced in 25 to 30 years while low slope roofs surfaces such as EPDM (black) or PVC and TPO (white) roof membranes are expected to last 20 to 25 years. Of course, there are variables to consider such as frequency of inspection, repair history, and quality of original workmanship, but for planning purposes the industry standards can be relied on. What is difficult to predict is when the roof will leak or finding the source of the leak when it starts.

Repairing the leak usually starts with the water intrusion becoming noticeable to a unit owner who reports the problem to the property manager or building committee. Sometimes the source of the leak is obvious as is the repair plan. Unfortunately, this is rarely the case. Instead, the search for moisture infiltration can be a challenge with various investigative steps eliminating what is not the source. First, the possibility of an interior leaks must be eliminated. This could include leaky plumbing pipes; HVAC equipment condensation; fire sprinkler system; hot water tank leak; and ice dams.

Depending on whether the building has a high-slope or low-slope roof, the next steps often include viewing the underside of the roof either from an attic space or mechanical room with a flashlight. Luckily, the point of water infiltration can easily be spotted from visible water staining on the roof sheathing or decking underside and water or pooling marks on the floor. Following the interior investigation, viewing the roof surface directly from the ground with binoculars or walking the low-slope roof surface. Looking for damage or missing shingles or other roof components can be successful while inspection of roof membrane surfaces focus will be on broken membrane seams, holes, or flashing damage. If this visible inspection comes up empty, a more proactive effort may be required including spraying the roof surface area with water to repeat the leak occurrence or even flooding the low-slope roof area. Beyond this preliminary effort, my recommendation is to seek professional help.

This help should start with pulling out the original roof warranty (assuming you can find it) and read it to see if it would apply and then act accordingly. Your next step could be to call your local roofing contractor. Many of these roofing companies are very good but their business model is based on installing new roofing surfaces not your less rewarding repair service needs. This approach also faces the concern of conflict of interest following the roofing contractor’s inspection report recommending your condominium needs the entire roof surface to be replaced, not repaired. At this point, you may want to consider calling the engineering firm who recently performed your condo’s reserve fund study for guidance. The phone call will be free of initial costs, and should you engage their technical services their opinion will be free of conflicting bias while potentially making available to you technical and forensic tools you did not know existed.

Source of Moisture

As was suggested, fixing the leak is the easy part. Finding the leak is the challenge. As an example, a property manager for a low-rise condo community with flat roofs called me to tell of a water leak in a unit owner’s top floor kitchen ceiling where water was dripping from the ceiling light fixture. Above the ceiling was a dead plenum space containing the structural roof framing joists and utility cable conduits. The maintenance staff cut an access hole in the kitchen ceiling to view the underside of the roof steel decking and inspected the EPDM roof membrane surface above but with no success in finding the source of the leak. When I arrived what I found would have made Rube Goldberg proud of this leak.

Using an infrared thermal scanner, I followed the trail of the leak in reverse. The water source was a pool of water forming in a low area of the drywall ceiling’s vapor barrier where a pin hole in the plastic allowed water to find its way to the ceiling light fixture’s penetration hole. This pool of water was caused by the dripping of water from the above suspended metal cable tray channel which had a small hole caused by a missing fastener screw. This cable tray channel went 15 feet to the left till it was located under a structural steel frame for the HVAC unit located on the roof. Water dripping from the lower flange of this structural I-beam was coming from water falling from the upper flange of the I-beam four feet up-slope that was being wetted by water falling from an equipment mounting bracket bolt whose vibrations caused the EPDM membrane covering it to be cut allowing rainwater to enter the building. The use of infrared thermography allowed me to follow the differential surface temperature along the leak path right to the source.

Flashlights and moisture meters are still very useful but new effective forensic tools have become available for investigating moisture damage to structures including both thermal and infrared imaging; hygrometric scanning; capacidence testing; water vector mapping; electrical potential difference (ELD) testing; and nuclear scans. The use of low flying drones equipped with infrared scanning cameras for inspecting expansive flat roof surfaces is now readily available. There is no greater danger to buildings and their occupants than unauthorized water.

Written by Jack Carr, P.E., R.S., LEED-AP, Senior Consultant Criterium Engineers
Published in Condo Media

Challenges Associated with Window Replacement

Window replacement can be one of a condominium board’s greatest challenges. This is due to elements of mystery, timing, and high cost. For a variety of reasons a unit owner may want to replace one or more of her unit’s windows. After following the condo’s guidelines for obtaining approval from the board or the building committee, approval is typically very straight forward. The problem arises when the project involves replacing many or all of the community’s windows.

Window Ownership

Windows typically belong to the unit owner and are not a common element under most condominium rules. Often complicating this issue is the ownership of windows is not always clear in the original condo documents. Sometime the board finds the matter of ownership was determined by a past board decision based on an incorrect interpretation of the condo’s documents. Therefore, when in doubt, the board should check with the condo’s attorney for the final determination.

Assuming it is confirmed the windows belong to the unit owner, the building committee is not off the hook with window leaks or other window failures, as these same condo rules assigning the windows to the unit owners also assign the window frames to the association’s responsibility. In many cases it is not the window that is leaking but the frame’s flashing (or lack of flashing), structural framing, or other common element causing the problem.

Window Replacement

Poorly installed windows not following the manufacture’s instructions are one of the biggest sources of unit owner complaints. Often the only solution is to remove the siding around the window, inspect the flashing, and re-flash. Many such problems can be minimized by preventive inspections using either visual methods or instruments such as moisture meters to focus on the specific moisture path to diagnose the issue.

Most window replacement projects are due to age. Quality windows will last more than 30 years. Environmental factors such as high wind areas or proximity to bodies of water can have an adverse effect on the useful lives of some types of windows. Window seal failure on a limited percentage of windows can also prompt their early replacement. And, interestingly, the driving factor in most condo window replacement projects is not the age of the windows, but the age of the siding.

Window Costs

It is not unusual for a condo unit owner to be faced with having to pay for window replacement because the community has made the decision to replace the siding. The lifecycle of the condo’s façade may not be in sync with the age of the current windows. Replacing or changing a community’s façade is a difficult decision in itself. As the fenestration elements of the façade include security issues, sightlines, and air flow matters, the board may decide the windows also must change. Recent national findings have shown the importance of improving air quality in older buildings by introducing natural ventilation. This may require communities to consider changing the type of windows replaced in the future.

Window Choice

Choosing the best replacement window can be a daunting task and often a board will need the advice of a professional such as an architect, engineer, or window supplier. Choices of style, functionality, and installation types can be wide-ranging with some windows eligible for a $500 federal tax credit. The first decision is often whether the replacement will be ‘full-frame’ window requiring exposure of the rough opening or an ‘inset’ replacement. This decision will be dictated by both cost and the impact of the window project on the siding or other framing considerations.

Today’s typical high-rise windows frames are metal while low-rise residential window frames will have a vinyl exterior surface. From there, the decision makers will turn to selecting the type of glazing (window glass) where both initial and life cycle costs of materials and energy conservation will be considered. The initial consideration is double- (two-panes) or triple-glazed (three panes). Maine’s northern climate would suggest triple-glazed is the best choice to reduce both energy loss and noise transmission.

It is at this point the need for window expertise comes into play. Window performance can be greatly improved by changing the chemical composition or physical characteristics including the use of tinted glazing or reflective coatings and films to reduce heat gain and glare. Some low-emittance coatings have been developed to improve both heating and cooling season performance. Other manufacturers use low-conductance gas fills between the glazing layers with thermally improved edge spacers to meet performance goals.

The board’s window consultant will be able to guide the board through this decision process to select the optimal window performance within the community’s budget restraints. Windows are a long-term investment, increasing the market value of the units while reducing the life-cycle costs of heating and cooling. Making the correct window replacement decision now will allow the project to see a clear success in the future.

Article written by Jack Carr, P.E., R.S., LEED-AP, Criterium Engineers
Published in Condo Media April 2021 edition
Download a PDF Version of this Condo Media “Seeing Clearly” Article

Inspection Techniques for Surface Survival

The roof surface of your condo building is probably the most important common element under association control. Water intrusion into the interior will cause more damage or unit owner outrage than almost any other problem brought to the board’s or property manager’s attention. It bears careful consideration.

There are many types of roofing materials here in New England – roll/built-up roofing, wood shingles, metal, fiberglass shingles, etc. – but for ease of discussion, let us focus on the most common: high-slope asphalt composite shingle and low-slope membrane roof surfaces. Inspection techniques tend to be similar for all types of roofs.

Most roofs tend to last 20 to 30 years, but many factors can cause those estimates to vary. Warranties on roofs should not be confused with how long a roof will survive, as warranty is another word for pro-rated insurance coverage. Roof surface survival is more dependent on the quality and thickness of the material, skill of the installation, ventilation on the underside of the roof, and periodic maintenance than all the warranties in the world.

High-Slope Asphalt Composite Shingle

A periodic inspection by roofing professionals is always a good idea, but most roofs can be easily inspected with a little instruction and a systemic approach. The first thing to remember is climbing a ladder onto a sloping roof is the last thing you should consider. The condition of many roofs can be determined with binoculars and viewing the roof at the proper angle and time of day.

That said, the condition of a roof can often be best determined from inside, such as in the attic. The inspection should include observing the condition of the roof’s underside whether it be metal or wood product sheathing. Old and new leak stains should be noted, as well as their locations relative to roof penetrations and other reference points that will warrant further investigation during outside viewing. Attic inspections should also note the quality or lack of ventilation. All vents, including ridge, gable, and soffit vents should be clear of obstructions and mechanical vents should be operational. There should be a breeze in the attic on a windy day.

Roofs rarely leak in the open field of the roof unless shingles are blown off. Therefore, the roof inspection should focus on transition points of dissimilar materials or junctures of roofs and walls, such as dormers and chimneys. All skylights, vent pipes, and other roof penetrations should be monitored.

When on the ground, viewing the roof at an angle will help note irregularities or the first sign of aging and failure. Problems to observe on the inspection log are edge curling or other shingle movement; wavy shingle lines; cracked or missing shingle tabs; and loss of granular particles found in gutters from the shingle surface. Walking on shingle roofs showing signs of shingle movement can cause severe damage and lead to accelerated roof failure. Debris in roof valleys or valley flashing condition should always be noted. Shingles with a southern exposure will fail first. Observing the roof surface eave edge for damage from ice dam removal, rusting drip edges, and lack of a three-eighths-inch drip edge are all signs of early problems. Chimneys without crickets to divert water and ice are more susceptible to water infiltration and flashing failure.

Low-Slope Membrane Roof

Flat EPDM (black) or vinyl (white) roof membrane surfaced roofs are easier to inspect. They are also excellent candidates for thermal (infrared) scanning surveys. Issues to note are the condition of the surface coatings, punctures, cracking, alligatoring, blisters, fish mouths at seams, blocked drains, and ponding. Problematic conditions are ponding or the dried-up outline of prior ponding, which indicates poor drainage and can be a source of water infiltration. Roof membranes are designed to allow ponding for only a few days. If ponding is persistent over extended periods, the membrane will deteriorate, and seams will fail prematurely.

The heavy snow loads in New England are hard on low-slope roofs. Roofs are often cleared of snow to reduce dead load. The extra traffic on unprotected membranes can cause severe wear, especially in areas where the insulation boards beneath the membrane have their mechanical fastener heads touch the membrane’s underside causing tears.

No matter how many or what type of roof surface you may be responsible for, having a systematic way to keep track of the roof’s condition is invaluable. A maintenance log of leaks, repairs, and observations produces a very organized approach to facility maintenance. A checklist with the issues listed in this article with photos illustrating roof problems can go a long way to keep maintenance cost down and rain out.

Article written by Jack Carr, P.E., R.S., LEED-AP, Criterium Engineers
Published in Condo Media March 2021 edition
Download a PDF Version of this Condo Media “About the Roof” Article

There is no condominium community asset more overlooked than its site walls. They literally become part of the landscape and seem to disappear, yet they are vital to the health of the community. They are sometimes called retaining walls or sometimes simply landscape structures, but in the hilly interiors of Maine or the rugged slopes of the coastline, these structures allow the very existence of some condo communities.

They can be made of many different materials. They can be poured concrete, steel, or timber. They can be concrete block or stone or brick. They can be very tall or very short. Whatever they are, if they fail, they can be dangerous and costly to repair. So, a prudent grounds committee should schedule regular inspections and maintain a log of repairs.

Retaining Wall Inspection
Schedule and Checklist

It is recommended retaining walls be inspected four times a year, that is, before or after each season. Heavy rains or soil frost movement can have a significant effect on a retaining wall in a short time. At the very least, someone should perform an annual inspection and compare those findings with the year before.

Grounds Conditions

Like us, aging retaining walls deteriorate primarily because of gravity. This can be due to the excessive soil loading behind the wall or the weight of the wall overloading the soil conditions beneath the wall. The increase of forces behind the wall is often the result of water build up due to surface water above the slope percolating into the ground or a raising ground water table. Weep holes are designed to reduce this increase in hydrostatic pressure, but weep holes can be blocked by debris or overwhelmed by the quantity of water.

One of the first steps in the inspection process is to observe the conditions of the ground surfaces upslope of the retaining wall. Some walls have trench or other types of drains to intercept the water while some ground surfaces are designed to quickly drain water over or around the wall before it can enter the ground behind the wall. If water ponding above the wall is discovered, this problem must be corrected. Ponding will occur if the ground settles or is removed due to erosion. If the top surface is paved, cracking in the asphalt or concrete surface can allow unintended water to enter the soil.

Retaining Wall Surfaces

The surface of the retaining wall is the next and perhaps easiest element to inspect. Wall movement should be noted. Walls should lean back toward the slope uphill. If they lean forward or have signs of bulging in any locations this could indicate excess back pressure or failure in the underlying soils. Horizontal cracks are usually more serious than vertical cracks. The first time this is noted it should be brought to the attention of the facility manager or your engineer.

Timber retaining walls can move or crack due to both earth movement and insect attack. Timber wall elements can rot with age.  Any type of wall can crack and allow vegetation matter to grow from either side of the wall. All roots, weeds, or other growth should be removed when discovered, as they can apply considerable pressure to the crack and create localized weakening of the wall. Wall cracks in concrete surfaces can allow moisture to reach the reinforcing steel causing excess corrosion creating not only internal pressures from expanding rust, but also provide a passage for water infiltration creating further deterioration from expanding freeze/thaw cycles.

Missing wall stones or bricks can also be an indicator of severe developing problems.  These missing elements may weaken the structural integrity of the retaining wall and indicate excessive soil pressures forecasting future wall bulging, bowing, or bellying either vertically or horizontally.

Changes in Proximity

As the original retaining wall was designed for specific loading conditions, any changes in the general proximity of the wall should be considered. This could include the placement of a structure or other heavy mass on the ground surface at the top of the wall or changes in use of the land by your upslope neighbor. This could include a roadway, parking lot, or the use of road salts or deicers near the wall. It also includes any changes to the pattern of surface water drainage such as switching from a grassy surface to a mulched surface.

Slope Movement

One of the subtlest wall failures is the actual movement of the slope itself. In some circumstances it is possible for the entire hillside to shift or move in mass without damaging the wall itself. For this reason, it is important to document not only the wall but the peripheral areas in the vicinity to ensure any movement out of the ordinary is noted and reported. Especially note any ground movement at the foot of the retaining wall. A visible wall is a safe wall.

Article written by Jack Carr, P.E., R.S., LEED-AP, Criterium Engineers
Published in Condo Media June 2021 edition
Download a PDF Version of this Condo Media “The Invisible Wall” Article

Criterium Engineers was founded in the days when building plans were meticulously designed and drawn by hand. The dedicated engineer’s talisman—the plastic drafting triangle—could once be found on almost every drawing table in our offices. And while a clear plastic triangle might easily be lost on piles of white paper, bright orange drafting triangles always stood out brilliantly from the rest.

Yes, computers have replaced some of our tools, but the orange drafting triangle still serves as our logo today. It symbolizes knowledge built up over generations. A true passion for helping people better live and work in buildings they know and love. An unrelenting determination to bring value and to be the very best. These are still the elements of quality engineering consulting—and still the reasons why Criterium Engineers stands out from the rest.

Most Common Areas of Concern

As a member of the board or the property manager, what element of the condo complex poses the greatest danger to the unit owners and liability to the association? Slips and falls during the icy season? Decks collapsing from rot? Electrical fires? Well, if you picked “decks,” you are almost right.

If the condition of the complex’s decks is a concern, the good news is decks rarely collapse. Wood decks built more than 20 years ago can have some significant deficiencies by today’s standards. Most deck collapses are the direct result of inadequate attachment to the building, that is, the connection between the deck ledger and building band joist. The U.S. Forest Products Laboratory’s recent study of newspaper articles from around the country reported on collapsed decks and showed “nearly every collapsed deck had been attached with nails, rather than bolts, and investigators had pinpointed nails as the cause of the collapse.”

Deck Deficiencies & Inspections

More than 20 years ago many decks were attached to buildings using nails that rust away or simply do not have the lateral holding power of bolts. To make matters worse, developing problems are often not noticed in a casual visual inspection because the ledger board is hidden behind the siding. This problem is compounded by past deck building practices not protecting the ledger due to a lack of adequate flashing. On Maine’s coast, the salty air creates some very corrosive chemistry on deck components. Fortunately, these type of old decks are disappearing from Maine’s condo inventory.

If your building committee wants to perform an in-depth inspection of all components of the decks, there are many publications providing good technical information such as:

1. 1. Prescriptive Residential Deck Construction Guide (DCA6) published by the American Forest & Paper Association (AF&PA), available as a free download from its website, www.afandpa.org, or stream on YouTube. Though this is not a building code it helps to explain the nature of safe deck building and can serve as an invaluable supplement.
   2. Manual for the Inspection of Residential Wood Decks and Balconies. Written by researchers at Virginia Tech, this manual was published by the Forest Products Society in cooperation with the International Commercial Code (ICC) as a practical guide with good illustrations.
   3. How to Perform a Deck Inspection by the International Association of Certified Home Inspectors (InterNACHI).

Studying these documents could be a rewarding exercise for the members of the building committee, but as stated earlier to truly zero in on the most dangerous condo asset, “decks” is “almost right.” The actual answer is stair and guard rails of decks.

Deck Stairs, Handrails & Guard Rails

Accidents related to stairs are the second-leading cause of accidental injuries in the United States, according to the National Safety Council, responsible for 12,000 deaths annually and for non-fatal injuries costing $92 billion a year. Only automobile accidents take a higher toll.

Handrails must run continuous down the flight of stairs with four or more risers and should be 34 to 38 inches above the treads with a minimum distance of one and a half inches from a wall. Guard rails must be 36 inches above the deck (42 inches for multi-family buildings covered by IBC code) and able to withstand a 200-pound force from any direction. Balusters must be able to handle a 50 pound per square foot force while being spaced a maximum of four inches apart.

A common mistake builders make is to install a handrail not conforming to building code. There are only two approved shapes which do not include a 2×4 or other odd shape. However, the building committee’s primary concern should be safety and not code compliance. The question to be addressed is, “Does the stair, hand, or guard rail provide the safety needs given where the stairway or deck is located, and how it is used.” Accidents are preventable. Regular deck maintenance inspections will find where typical problems can be found. Providing guidance to your unit owners of what to look for and how to report observed deck component issues will go a long way in reducing accidents and raise the quality of life in a real sense.

Article written by Jack Carr, P.E., R.S., LEED-AP, Criterium Engineers
Published in Condo Media
Download a PDF Version of this Condo Media article